FFY2012 EAP Annual Training Section 3

1. FFY2012 EAP Annual Training Section 3 Includes Chapter 4 Application & Processing, Chapter 5 Program Eligibility, Chapter 6 Primary Heat, Chapter 7 Crisis and Chapter 8 ERR

2. Chapter 4 Applications & Application Processing

3. 2011-2012 Minnesota Energy Assistance Programs Application

4. 2011-2012 Minnesota Energy Assistance Programs Application - Recertification • Recertification Applications – 26,245 • Differences between the Recert App and PreApp: • IF THERE IS NO CHANGE OF INCOME SINCE LAST YEAR YOU DO NOT NEED TO SEND PROOF OF INCOME • If your household income has changed, contact the agency listed on the front of this application for instructions.

5. Energy Programs Application Instructions and Privacy Notice

6. Spanish Version of Application • Completed by EAP staff from: • Heartland • Prairie Five • Three Rivers • Request for volunteers for this year’s application, instructions and rights and responsibility

7. Chapter 4 – Apps and App Processing (Page 1, second paragraph) • “The last date to apply for EAP is May 31. Applications must be received or postmarked by May 31 to be processed for EAP eligibility and benefit payment. • Requests for applications may be logged as telephone or incomplete applications. As May 31 approaches, this practice can give households extra time to complete their applications. Households have until June 30 to provide any missing information…” • July 2 – Actual last day to return any missing info due to June 30, 2012 falling on a Saturday.

8. Information to Have Available When Entering Applications Income: (page 8-9) • Check all sources of income and other assistance received by each household member (except for earned income of students in kindergarten through twelfth grade). If household reports “no income” due to a loss incurred by self-employment, check both the “No Income” box and the “Self-employment” box.

9. Address Standards (New) (page 9) • Service Providers are required to use address standards to reduce the entry of duplicate addresses into eHEAT and prevent potential errors and fraud. Service Providers must follow the standards shown in Appendix 4G – Address Standards. If a standard is not listed in Appendix 4G, additional guidance can be found at the U.S. Postal Service website http://pe.usps.gov/cpim/ftp/pubs/Pub28/pub28.pdf

10. Address Standards (cont.) • The purpose of these standards is to assist EAP Service Providers to avoid entry of duplicate addresses into eHEAT, to reduce errors and fraud. • Service Providers must correct current addresses in eHEAT • Use all UPPERCASE letters • Enter directionals (N, S, E, W, NE, NW, SE, SW) last • Only one space between words • eHEAT Enhancement – ‘Personal Information’ • screen says is if address is a duplicate when saved

11. Signature Requirements(page 9) • Applicants sign the EAP application to authorize use of their private data to provide EAP services (see Chapter 14 - Data Practices and Records, page 9.) • The signer must be an adult and can be any member of the household named on the application. • The signer is not required to be the Primary Applicant. • Service Providers must confirm the signer is named on the application and is an adult.

12. Employee Applications Common Errors: • App and eHEAT are not reviewed before mailing • Not mailing the application to John Harvanko (p. 10-11) • Not checking the “board member or employee” box before determining eligibility. • Not indicating how many HH members had income • UI calculated incorrectly and/or first week of UI missing • Addition errors • Excel spreadsheet for eligibility income is most accurate • Year-to-date calculations are most accurate • Faxing crisis app without talking to staff (p. 11)

13. Chapter 4 – eHEAT Enhancements • Making the app incomplete (ERR & Crisis Event rules) • Electric mismatch in ‘Advanced Search’ • Warning for duplicate address • Warning for duplicate Vendor Account number • Warning for Electric mismatch • Denial notes on eligibility screen

14. Chapter 4 Making the application incomplete (ERR and Crisis Event rules) Any Crisis or ERR with $ attached results in:

15. Chapter 6 (p. 6) Electric mismatch in advanced search

16. Chapter 6 Warning for Electric mismatch

17. Chapter 4 Warning for duplicate address

18. Chapter 4 Warning for duplicate Vendor Account number

19. Chapter 4 Denial notes on eligibility screen

20. Q & A: SSN Project & Application Coordinator’s Role

21. Chapter 5 Program Eligibility

22. Eligibility Changes - Highlights New Sections related to SSN were added to Ch 5- Eligibility • Verifiable SSN • Missing Primary Applicant SSN • Authorized Alternative Documentation (AAD) • Denied Alternative Documentation • Entering Non-Primary Household Member’s SSN in eHEAT • These are listed with the Manual Changes in Chapter 5 • Doug presented these earlier

23. Eligibility Changes - Highlights Household Changes • Households Defined • Households in Institutions • Households with Shared Meters • When the household situation changes • New Appendix11F – eHEAT To-Dos when a HH moves Income Documentation • Differences in EAP versus WAP incomes and documentations • Income Types now Excluded from EAP Countable Income • Combat Pay • Child Support • Retirement Accounts (Medical Expenses withdrawals) • Self Employment

24. EAP Households Defined Household Definition • A household includes all individuals who: • Live together as one economic unit. • One economic unit is individuals who: • Occupy a residence, which has not been subdivided. • Share a living area (bathroom, kitchen, living room). and • Are customarily provided residential energy in common or who make undesignated energy payments in rent. and • Do not live in an institution.

25. Households Defined - Institutions Need for clarity for situations where a household lives in assisted living or nursing homes • Persons living in a board and lodging with special services facility do not live in an institution. A room and board facility is licensed only by the Minnesota Department of Health. • Examples: transitional housing, shelters, memory care facility, and some group homes (i.e. chemical dependency treatment centers or homes). • Persons living in long-term care facilities such as nursing homes and boarding care homes live in an institution. Both the Department of Health and the Department of Human Services license nursing homes and a board and care facilities.

26. Households Defined - Institutions • Service Providers are responsible for knowing the nursing homes and board and care facilities in their service area. • Easiest solution is to call the home and ask; they will know what they are and who licenses them • Document what you learn in the household file. • Can also use this information for future outreach opportunities for those not in institutions.

27. Households Defined Landlords & Renters • A person who rents a room, does not share living area and does not share other dwelling or household costs is not a member of the landlord household. • Examples of other dwelling or household costs are food, shelter, heat and utilities. • This renter may apply as a separate household. •  An applicant who rents out a room to a renter must count the rental income and may deduct rental expenses. • These applicants must supply an IRS Form 1040 or should be given a Self-Employed Income Worksheet to complete.

28. Guidance For Households With Shared Meters We are seeing more situations of households in creative housing situations. What are the state's preferences and intentions for handling these situations? Examples Include : • Owner of a house rents a room to help pay the mortgage • Boarders, Roommates, Doubling Up, House Splitting and Sharing. • Landlords that have the meter in their name and get the bill paid by the tenants – either with some sort of flat rate, or monthly amount based on the bill • Not a surprise considering the current housing and economic situations that low to moderate income households are exploring creative housing

29. Guidance For Households With Shared Meters What are the state's preferences and intentions for handling these situations? • Intention is to provide households meeting the household definition with appropriate benefits paid • Do the best we can with what we know. • Review the Household definition first to determine what you’re dealing with – • Household sharing living space? • Household sharing living expenses? • Flat rates or percentages

30. Guidance For Households With Shared Meters Relevant bullets from Focus and Intentions for Eligibility Use information provided on and supplied with the (complete) application to determine eligibility • Household size • Determine eligibility based on program policies and available information • (Corollary) Do the best we can with what we have Intentions: What we want to accomplish; our outcomes • Summary: Simple and Fair EAP Policy Manual FFY2012 Chapter 4 Applications & Application Processing Page 3 • The EAP Application for new applicants provides the information necessary to determine eligibility, and the applicant’s signature verifies that it is true.

31. Guidance For Households With Shared Meters Documentation of Eligibility – At times more of an art than a science • First and foremost is the documentation the application provides • Lease and other formal or written agreements • Informal agreements • If you have concerns, call the landlord and/or household • Document the information in the household’s file with date and name/initials

32. Guidance For Households With Shared Meters Prefer Payments in this order: • pay the vendor account • the landlord as a vendor • Household directly (should be the exception) Backup Matrix • The Eligibility Guidelines Table for the Backup Benefit Matrix is used when… for households paying heat costs indirectly with their rent payment, for households with shared meters…. EAP Policy Manual FFY2012 Chapter 6 Primary Heat Page 3

33. HH with shared Meters –Payments – CH11 EAP Policy Manual FFY2012 Chapter 11 Benefit Payments and Refunds Page 4 • Payments to Applicants • Households may receive direct payments under circumstances that make payment to vendors difficult or impossible. Direct payments will be distributed in one payment and not scheduled. Make direct payments to: • Households with all energy utilities, electric and heat included in the rent. • Households with heat included in rent, and only the amount that exceeds their electric costs for the previous year. • Households whose vendors refused to sign the vendor agreement. • Households unable to secure a vendor. Payments to Households with Account in Landlord’s Name • If the household’s energy account is in the landlord’s name, it can be addressed as follows: • Payments are made to the account on behalf of the household to the energy vendor. • The landlord can become an EAP vendor. All agreement, registration and participation requirements are the same for landlords as energy vendors (see Chapter 3 - Energy Vendors). • Households may receive direct payments under circumstances that make payment to vendors difficult or impossible.

34. Households Sharing – Final Thoughts • Know and understand that our guidelines including our definition of household are different than other economic assistance programs; • Food Support, for example, does not necessarily count every member living in the house as a member of the household. • The households that participate with both our program and economic assistance programs are often confused by this. The major difference; we heat households; not individuals.

35. Vendor Account Name v. EAP Primary Applicant Vendor account Name doesn’t match name listed on payment & vendor doesn’t know who payment is for. A few vendors don’t accept these payments. Response: • Not an unusual situation, SP are familiar & resolve these issues all the time. • When payments are made to a landlord’s vendor account for example • SP staff should work with the vendor to manage the assignment of EAP payments to the appropriate account • Put account name in the vendor record & eHEAT Vendors can see the name on the account in the vendor screen • Vendors can export the search screen data to list the actual names on account and household number

36. Changes to Household’s Situation Refer to Chapter 11: Benefit Payments & Refunds for assistance with handling changes to the household’s situation during the program year. Examples of household situation changes include the household moving, adding or losing members, or combining with another household. • Relevant after eligibility has been determined and/or payments have been made; that’s why this information is in Chapter 11 • Prior to determining eligibility; changes can be made to application; may require new application or new signature page.

37. When Household’s Situation Changes Household Member Moves If any, but not all members move to a new dwelling: • The EAP grant stays with the remaining household members • Household members that leave the household must be changed to “inactive” • The members that moved may apply for an EAP grant at their new residence; unless they join a current EAP household.

38. When Household’s Situation Changes EAP Household Adds One Or More New EAP Or Non-EAP Member(s) If household is joined during the EAP program year by EAP or non-EAP members: • The benefit amount is not reassessed • Record the new household members information into household file • This change does not change the household’s eligibility for EAP services for the current program year

39. When Household’s Situation Changes EAP Households Combine If two or more EAP households combine into a new dwelling: • Disburse any remaining PH benefits from both EAP households to current address’ accounts Choosing which household to close: • Close the household with the least remaining crisis benefit • If neither household has received a crisis benefit, either can be closed Work with the household to resolve EBA questions, because the newly combined household is only eligible for one EBA

40. When Household’s Situation Changes If EAP Households Combine Into One Of The Households’ Current Dwellings • Choosing which HH to close • Close the household application(s) with the least remaining crisis benefit (this may be the occupied dwelling.) • If neither HH received a crisis benefit; close the application from the vacated dwelling • Disburse any remaining PH benefits from the vacated address to the current address • Work with the household to resolve EBA questions, because the newly combined household is only eligible for one EBA

41. When Household’s Situation Changes For the application that remains open update the information as appropriate: • Household member information (add new member information and deactivate those who are no longer in the household.) • Address • Housing type • Fuel type • Vendors information including • Vendor name • Account number • Consumption – all consumption should be invalidated except the one for the current dwelling • Document in the notes section in eHEAT, including previous household number, date of change and staff person who made the change.

42. Ch 11 Benefit Payments and Refunds Appendix 11F – Handling Payments and Refunds in eHEAT When a Household Moves

43. Handling Payments and Refunds in eHEAT when a Household Moves When a household moves within the Service Provider’s service area The vendor refunds any remaining EAP benefit in eHEAT so the Service Provider can re-direct the payment to the household’s new vendor. • Go into manage payment to remove schedule and then cancel any remaining payments. • Go to “Client Services” to update address, member, housing type, fuel type and vendor information. Make notes in eHEAT regarding the change. Include previous household number, date of change, staff person who made the change and other information as appropriate. • Next go to “EAP Benefit”, select the household and click “Make Primary Heat payment.” • Finally, go to “Payment Services”, search for the household, manage the payment, choose new vendor and save.

44. Handling Payments and Refunds in eHEAT when a Household Moves When a household moves to an unknown location • Remove schedule • Void payments (which will de-obligate the money) When a household moves from another Service Provider • Go to “Client Services” to update household and vendor information as appropriate. • If they have an EAP balance remaining, make payment to their new vendor(s) by: • Go to “EAP Benefit”, select the household and click “Make Primary Heat payment.” • Finally, go to “Payment Services”, search for the household, manage the payment, choose new vendor and save.

45. Handling Payments and Refunds in eHEAT when a Household Moves When a household moves from another Service Provider • Go to “Client Services” to update household and vendor information as appropriate. • If they have an EAP balance remaining, make payment to their new vendor(s) by: • Go to “EAP Benefit”, select the household and click “Make Primary Heat payment.” • Finally, go to “Payment Services”, search for the household, manage the payment, choose new vendor and save.

46. Handling Payments and Refunds in eHEAT when a Household Moves For the application that remains open update the information as appropriate: • Household member information (add new member information and deactivate those who are no longer in the household) • Address • Housing type • Fuel type • Vendors information including • Vendor name • Account number • Consumption – all consumption should be invalidated except the one for the current dwelling • Document in the notes section in eHEAT, including previous household number, date of change and staff person who made the change.

47. Added to the List of Income Excluded From EAP DOE Excludes The Following From Income So To Increase Consistency Between Programs: • Child Support payments received will no longer be counted as income when determining EAP eligibility • Combat Pay is not EAP countable income • Tribal Judgment Funds above $2,000; Only annual payments above $2,000. (This income is rare in Minnesota and is related to land acquisitions.) Changes to the Household Employment Income Documentation section: • The Green Thumb program is now called Experience Works • Added that the use of pay dates is preferred to pay period end dates; when available • Removed public records from the documentation list

48. Child Support Is No Longer EAP Income Child Support Received By A Household Is Not Counted As Income For EAP • Determined to no longer count child support as income. • When child support is the only household income, the household is not required to fill out a No Income Form; because they have income. Documentation of Spousal Support • Still considered EAP income • Divorce Decree is appropriate documentation only if relevant • Want to document what they are actually receiving; not what they were awarded, if they are not the same. • Other documentation may be more appropriate if payments are not regularly being made.

49. No Income Documentation; EAP vs. WAP • One change we did not make to match DOE is the documentation required from no income households. Do not be confused! • Although DOE is requiring households to provide a notarized statement if they have no income. • EAP has made no changes to the No Income Household documentation requirements; EAP will not be requiring a notarized statement from no income households. • Because DOE WAP accepts EAP eligibility for weatherization, the only households that should be affected by this change will be the ones that are “WAP Only Households”; that EAP does not determine eligibility for.

50. Withdrawal from Retirement Account for Medical Expenses Request to Not Count Withdrawals from Retirement Accounts if Used for Medical expenses. • Major Medical situations; HH can withdraw from retirement funds (in some cases) without penalty; if withdrawal is due to a major medical situation & they’re using money to pay medical bills. • For example, the person is 60 and withdraws from a retirement account to pay medical bills related to a major medical situation. • If they are older than 59 and ½; continue to count as income.